14. On January 1, 2012, London Company issued its 9% bonds in the face amount of P2.0 million which mature on January 1,2022. The bonds were issued for P1,878,000O to yield 10% resulting in a bond...

14. On January 1, 2012, London<br>Company issued its 9% bonds<br>in the face amount of P2.0<br>million which mature on<br>January 1,2022. The bonds<br>were issued for P1,878,000O to<br>yield 10% resulting in a bond<br>discount of P122,000. London<br>Company uses the interest<br>method of amortizing bond<br>discount. Interest is payable<br>annually on December 31. What<br>is the carrying value of the<br>bonds at December 31, 2012? *<br>a. P1,885,800<br>b. P1,896,000<br>c. P1,896,780<br>O d. P1,898,000<br>

Extracted text: 14. On January 1, 2012, London Company issued its 9% bonds in the face amount of P2.0 million which mature on January 1,2022. The bonds were issued for P1,878,000O to yield 10% resulting in a bond discount of P122,000. London Company uses the interest method of amortizing bond discount. Interest is payable annually on December 31. What is the carrying value of the bonds at December 31, 2012? * a. P1,885,800 b. P1,896,000 c. P1,896,780 O d. P1,898,000

Jun 08, 2022

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14. On January 1, 2012, London Company issued its 9% bonds in the face amount of P2.0 million which mature on January 1,2022. The bonds were issued for P1,878,000O to yield 10% resulting in a bond...

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